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in the number of vacancies has a very weak effect on the number of unemployed workers being hired: unemployed workers … appear to be unable to compete for many available jobs. Vacancies are filled quickly and there is no (or only weak) evidence … that high unemployment makes it easier to fill vacancies; hiring appears to be determined by labour demand while frictions …
Persistent link: https://www.econbiz.de/10012013530
percent increase in the statelevel effective minimum wage reduces vacancies by 2.4 percent in the same quarter, and the … cumulative effect is as large as 4.5 percent a year later. The negative effect on vacancies is more pronounced for occupations …. We argue that our focus on vacancies versus on employment has a distinct advantage of highlighting a mechanism through …
Persistent link: https://www.econbiz.de/10013373856
We show that the inability of a standardly-calibrated labor search-and-matching model to account for labor market volatility extends beyond the U.S. to a set of OECD countries. That is, the volatility puzzle is ubiquitous. We argue cross-country data is helpful in scrutinizing between potential...
Persistent link: https://www.econbiz.de/10010500264
vacancies in the local labor market, and what impact it has on employment. A greater availability of unemployed workers should … make it easier for a firm to fill a vacancy but more vacancies at other firms should make it more difficult, due to the … unemployment has a weak positive effect on the probability of filling a vacancy, while the number of vacancies in the local labor …
Persistent link: https://www.econbiz.de/10010321379
This paper develops a Walrasian equilibrium theory of establishment level dynamics and matching frictions and uses it to evaluate the effects of congestion externalities in the matching process and determine the government interventions that are needed to implement a Pareto optimal allocation....
Persistent link: https://www.econbiz.de/10010292153
stock-flow matching, job seekers immediately become fully informed about the stock of viable vacancies. If only one option …
Persistent link: https://www.econbiz.de/10010292209
volatility of vacancies and unemployment. This channel can be relevant if the lack of insurance is large enough so that the …
Persistent link: https://www.econbiz.de/10010292356
According to the standard union bargaining model, unemployment benefits should have big effects on wages, but product market prices and productivity should play no role in the wage bargain. We formulate an alternative strategic bargaining model, where labour and product market conditions...
Persistent link: https://www.econbiz.de/10010322003
The existing literature assumes that unemployment insurance (UI) affects the labor market through the job finding rate of eligible workers. I argue that this focus is too narrow. I show evidence for UI effects through three other margins: (i) search externalities; (ii) takeup of other welfare...
Persistent link: https://www.econbiz.de/10011969188
relevant degree of wage rigidities for incumbent workers drives unemployment volatility, as well as the volatility of vacancies …
Persistent link: https://www.econbiz.de/10012039286